do it. think it. blog it! ... a twisted world

Sunday May 08, 2005

I just read a news article on rediff on Sun doubling it's workforce from 1000 to 2000 in the next 2 to 3 years. I personally am in favor of outsourcing, but sometimes question my own tendencies of my outsourcing thought stream and think otherwise. I believe that the pros and cons of outsourcing is not a simple topic of discussion as there lies a whole lot more beneath the surface. Nevertheless, regardless of whether Sun is hiring in India or in the United States, I think it's a great forecast which makes me feel proud to be part of the "family". Read the entire story at http://www.rediff.com/money/2005/may/06sun.htm. AND regardless of how this may effect me in person, heing a hardcore sun guy.. I'd still say... "GO SUN GO". and AH!! did I forget to mention that the spike in workforce is in India ??
Comments:

Your misrepresenting the story here... Sun isn't doubling its workforce, the Sun India is. There are already almost 3,000 is the total workforce.

Personally, I think its a mistake, but oh well.

Posted by benr on May 08, 2005 at 07:00 AM EDT #

Also rather sad that Sun's Ireland site seems to be suffering as a result... it was the first engineering centre outside the US, and led a lot of core projects like the Java Desktop System, but while Prague, India and China are getting all the press, the Dublin site has been slashed from ~300 to just over 100 employees in the past four or five years.

Posted by 213.202.147.148 on May 08, 2005 at 11:25 AM EDT #

Hi benr,

I dont think I am misrepresenting facts. I did specify in my post that the spike in workforce is in India.

The first/opening line of my post however "<em>I just read a news article on rediff on Sun doubling it's workforce from 1000 to 2000 in the next 2 to 3 years.</em>" when taken out of context of the entire post could however be considered a <strong>"misrepresentation"</strong>.

SO, all said and done, If you still believe that the post is a <strong>"misrepresentation"</strong> even after reading the post in it's entirety, please point it out, and I shall post an update to that effect.

Rohan

Posted by Rohan Pinto on May 08, 2005 at 01:28 PM EDT #

The burning question in my mind is whether the creation of these new jobs "offshore" is at the expense of jobs in parts of the world deemed to be more expensive, such as USA and Western Europe.

I may be being overly cynical, but who actually knows how many [very bright] people have been laid off in the past couple of years only to be replaced by someone performing the same job in a cheaper area.

Whilst I appreciate that Sun is struggling to find profitability, and minimising employee costs affects this, surely there should be a balance between creating new jobs offshore due to natural wastage and creating new jobs offshore to replace folks who have been made redundant elsewhere ?

Posted by Trevor Watson on May 09, 2005 at 06:34 AM EDT #

Hi Trevor,

Its said that outsourcing results in Job loss...

Consider the following scenario,
(<em>from a prior post of mine</em>)

<strong>Scenario A</strong>

There are 5 companies one that is local company(say company A) where the jobs are outsourced, obviously they have price advantages over other, now this helps A to sell their product more competitively than rest of the companies, what would this result into? Less business for all companies except A.

<strong>Scenario B</strong>

As A is based in low cost area, everyone outsources to some or the other low cost areas enabling them to compete with A, and there is a healthy and fair competition.

Now consider the results of scenario A and scenario B. In scenario A, all other companies stand to lose and in the worst case they might need to scrap the project and give all people pink slip.

In scenario B, all companies make profit and they retain most of the people.

Just dont go saying this is bad for me; if outsourcing is not done there is even more threat, and please note that I have experienced this....and I have been effected in layoffs myself too.. but no regrets... All said and done, I believe that outsourcing does have it's <strong>pros</strong>

At the same time.. technology evolves... IF the call center, support, development jobs are outsourced today.. there surely will be a need for better skills, higher standards, blue collar jobs, management, control, innovations.... and that'd give birth to better jobs <strong>HERE <em>(as in the WEST)</em></strong> pretty soon.

After all the <strong>consumers</strong> are'nt gonna be outsourced <em>{{{wink}}}</em>. the consumers are right here... and this <strong>IS</strong> a consumer driven economy.

All said and done, I guess time would tell... So guess I'm just gonna wait and see how this all turns around...<em>and am hoping for the best.</em>

Posted by Rohan Pinto on May 09, 2005 at 11:26 AM EDT #

Read this post on Sun Expands Around the Globe too...

Stephen Pelletier, the company's senior vice president of global engineering, quotes <em><strong>"the company will not lay off programmers in the U.S. -- but won't hire many, either."</strong></em>

So the word from the horses mouth is that - this expansion/outsourcing is <strong>NOT</strong> gonna cause more layoffs !!!

Srini

Posted by Srinivas Kini on May 09, 2005 at 03:04 PM EDT #

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